DEFENSE LOGISTICS AGENCY

 HEADQUARTERS

 8725 JOHN J. KINGMAN ROAD

 FORT BELVOIR, VIRGINIA 22060-6221

February 10, 2020

MEMORANDUM FOR SUPPLY PROCESS REVIEW COMMITTEE (PRC) MEMBERS

SUBJECT: Approved Defense Logistics Management Standards (DLMS) Change (ADC) 1356, 

Bar Code Use for Receiving DLA Product Quality Deficient Report (PQDR)

Exhibit Returns (PQDR/SDR)

The attached change to DLM 4000.25, Defense Logistics Management Standards (DLMS), is 

approved for implementation. 

Addressees may direct questions to DLMS.SDR@dla.mil. Others must contact their 

designated SDR PRC available at https://www.dla.mil/HQ/InformationOperations/DLMS/allpoc/. 

 DREXEL K. ROSS

 Director

Enterprise Business Standards Office

Attachment

As stated 

cc: 

ODASD(Logistics)
Attachment, ADC 1356

Page 1

Attachment to ADC 1356

Bar Code Use for Receiving DLA Product Quality Deficient 

Reports (PQDR) Exhibit Returns

1. ORIGINATING SERVICE/AGENCY AND POC INFORMATION:

a. Technical POC: DLA Enterprise Business System (EBS): J344, Makeya Porter, 

Makeya.Porter@dla.mil, 571-767-4504

b. Functional POC: DLA: J344, Steven Nace, Steven.Nace@dla.mil, 571-767-6582

2. FUNCTIONAL AREA LOGISTICS AND TRANSACTION CHANGES: 

a. Primary/Secondary Functional Area: Supply/ Product Quality Deficiency 

Reporting

b. Logistics and Transaction Changes (Check All That Apply):

 Category  Category  Category

Billing Physical Inventory Contract Admin

X Discrepancies / Deficiencies MILSTRAP DoDAAD

Serialization MILSTRIP MAPAD

Small Arms/Light Weapons MRA LMARS

pRFID Disposition X DLM Publications

GFP DOD BRAC

3. REFERENCES:

a. DLAR 4155.24/AR 702-7/AFI 21-115/SECNAVINST 4855.5B/DCMA-INST-305 

PQDR Program.

b. DLM 4000.25, Supply Standards and Procedures, Volume 2, Chapter 12 Due-In and 

Pre-Positioned Materiel Receipt and Chapter 13 Materiel Receipt

c. Approved DLMS Change 1249, Revised Procedures for Directed Return of 

Discrepant/Deficient Materiel including New Document Number Assignment for Return 

Shipment (SDR/MILSTRIP/MILSTRAP/Supply), December 22, 2017 (Phased/Staggered).

d. Approved DLMS Change 353A, Revised Procedures for Pre-positioned Materiel 

Receipt (PMR) and Shipment Status for Retrograde and Directed Discrepant/Deficient Materiel 

Returns Including Corrected Time Standard for Security Assistance/Foreign Military Sales 
Attachment, ADC 1356

Page 2

(SA/FMS) (Supply/SDR/PQDR/TDR/Retrograde), August 25, 2010 (Approved for phased 

implementation)

e. DLA eSOP, Product Quality Deficiency Reporting (PQDR) Exhibit Returns, August 

23, 2018

4. REQUESTED CHANGE(S):

a. Brief Overview of Change: This change applies to directed materiel return of DLA 

product quality deficient report (PQDR) exhibits to DLA Distribution as part of a PQDR

investigation. This approved change will allow DLA Distribution to receipt PQDR exhibits 

(materiel) using information on a DLA-provided PQDR bar code label in lieu of the 

documentation and paperwork accompanying the shipment. DLA recently started to provide the 

label to the PQDR customer. In addition to the bar code, the label contains the statement,

"PQDR EXHIBITS (MATERIEL) / PRE POSITION MATERIAL Number XX". The bar code

contains the PMR document number and the statement: "Place in Condition Code Q in SMS 

account. PQDR report control number (RCN) XX; the national stock number XX.” (Reference 

3.a.). Updates subsequent to PDC staffing are highlighted in green.

b. Background:

(1) Under the DLA procedures, the DLA Action Point directs return of PQDR 

exhibits using the original requisition document number or a constructed document number. 

DLA creates a PMR and provides the bar code label, also using the original requisition document 

number, or when unavailable, a constructed document number. If the customer returning the 

materiel substitutes a different document number due to internal Service system constraints 

preventing compliance with the Action Point’s instructions, and subsequently ships the PQDR 

exhibits using a different document number.

(2) Defense Logistics Management Standards (DLM) 4000.25 Chapter 13, 

section C13.2. (Reference 3.b.) directs DLA receiving personnel to receipt Navy, Marine Corps, 

and Air Force unauthorized returns of consumable materiel by service customers into their 

respective accounts, identified by the DoDAAC annotated on the Form DD1348. This instruction 

creates a problem in accounting for PQDR materiel exhibits in the DLA Distribution Centers 

when the customer does not follow DLA directions to ship the PQDR exhibit under the DLA 

document number used to prepare the pre-positioned materiel receipt (PMR). ADC 1249 allows 

managers to assign a new document number for directed returns of materiel. (Reference 3.c.)

(3) ADC 353A revised procedures for directed return of discrepant/deficient 

materiel, establishing a second document number data field in the PMR. It also returns shipment 

status to the Service as a cross-reference when the document number for the return differs from 

that on the original order/shipment. (Reference 3.d.)

c. Requested Change in Detail: The DLA Distribution Center will disregard the 

document number on the shipping documentation (even when it matches a customer-provided 

shipping document number. Instead, the distribution center will use the DLA bar code label 

document number to record the receipt into the DLA (SMS) account. The DLA procedures are a 
Attachment, ADC 1356

Page 3

work-around designed to circumvent customer system constraints that do not allow directed 

returns using the original requisition document number or a constructed document number.

Staffing Note: During adjudication of staffing comments received from US Air Force, a 

separate issue was identified for the potential need for DLA Distribution to generate a materiel 

receipt confirmation when material is returned to a DLA Distribution Center. EBSO agreed to 

pursue this topic at a future Supply Process Review Committee (PRC) meeting. 

d. Revisions to DLM 4000.25 Manuals: Update the DLMS 4000.25 Volume 2,

Chapter 13 Materiel Receipt, as shown in Enclosure 1. 

e. Approved Transaction Flow: Standard receipt/receipt reversal and SDR transaction 

flows apply.

f. Alternatives: None identified.

g. REASON FOR CHANGE: Failure to return materiel on the assigned document 

number causes DLA to loose visibility of the materiel resulting in manual research and can cause 

significant delays in the investigation of reported deficiencies and issuing of credit to the 

customer. When the distribution center receipts the exhibit to the returning Service’s ownership, 

the Service may not recognize the situation and may issue the materiel to DLA Disposition 

Services or redistribute it within the Service. Services identifying system constraints preventing 

accomplishment of DOD standard return procedures under the original document number (as 

reported by Army and Marine Corps personnel) must take corrective action to comply. 

5. ADVANTAGES AND DISADVANTAGES:

a. Advantages: Use of DLA-provided barcode labels is required to ensure proper 

receipt of DLA directed PQDR exhibit returns into the correct ownership account and mitigate 

the potential exhibit losses. The result of not using the DLA-provided barcode is that the PQDR 

returns appear to the distribution center as unauthorized returns; the distribution center receipts 

the exhibits accordingly. When exhibits are required as part of a PQDR investigation, DLA 

issues a letter to the Service customer(s) with instructions on where and how to ship the materiel. 

This letter of instruction is in full compliance with DLM 4000.25. However, loss of control over 

PQDR exhibits remains due to customer failure to comply with DLA guidance. The use of the 

label allows easy recognition of PQDR exhibits destined for DLA to ensure proper receipt and 

tracking of the item when it arrives at a DLA Distribution Center.

b. Disadvantages: Without exterior packaging labeling, the package is at risk of receipt 

into a Service account vice a DLA account when it arrives at DLA Distribution.

6. ASSUMPTIONS USED OR WILL BE USED IN THE CHANGE OR NEW 

DEVELOPMENT: This change applies until Service systems become DLMS Compliant or it 

is withdrawn.

7. ESTIMATED TIME LINE/IMPLEMENTATION TARGET: Procedures are effective 

upon publication of the approved change.
Attachment, ADC 1356

Page 4

8. ESTIMATED SAVINGS/COST AVOIDANCE ASSOCIATED WITH 

IMPLEMENTATION OF THIS CHANGE: DLA cannot derive a cost avoidance for 

additional man hours needed to track materiel and rework SDR guidance when the customer 

does not utilize the DLA provided document number for PQDR exhibit shipment. Furthermore, 

corrective action for materiel receipted to the wrong owner due to receipt with the wrong PMR 

vice a DLA document number can be labor intensive. Receipting PQDR exhibits to the wrong 

owner causes inventory to be misstated and results in incorrect transactions for issue and receipt 

to the wrong owner. It also results in delays in completing PQDR Investigations and 

unnecessary suspension of stock.

9. IMPACT: 

a. New DLMS Data Elements: n/a.

b. Automated Information Systems (AIS):

(1) Components must upgrade systems to support use of a new document number 

for directed return of discrepant/deficient materiel for return of PQDR exhibits to the designated 

DLA Distribution Center. This includes processing to correlate the original and new document 

numbers and to populate the cross-reference document number in the PMR, shipment status, 

materiel returns, and receipt transactions.

(2) Components systems that do not currently support directed return from the 

customer's location on the original document number or a new document number assigned by the 

activity directing the return must take action to upgrade these systems to support standard 

procedures. Customers must have the capability to return discrepant/deficient materiel in 

accordance with the instructions provided.

c. Non-DLM 4000.25 Series Publications: Process revisions may require updates to 

internal operating procedures and other published SDR, PQDR, guidance.

10. PROPOSED DLMS CHANGE (PDC) 1354 RESPONSE/COMMENT RESOLUTION:

Component Response/Comment Disposition

1. DLA Concur with no comments. As noted. 

2. Navy Concur without comment. As noted. 

3. Air Force Concur with comment.

1. Official Comments: Concerns exist regarding the 

PQDR Exhibit shipment and lack of receipt confirmations.

2. Recommended resolution: Develop materiel receipt 

confirmation when materiel is received to a DLA 

Distribution Center.

As noted.

1. EBSO clarified to the 

USAF that DLA is 

providing the BAR Code

label and there is no 

component requirement for 

labels and equipment.

2. During adjudication of 

staffing comments received 
Attachment, ADC 1356

Page 5

from US Air Force a 

separate issue was identified 

for the potential need for 

DLA Distribution to 

generate a materiel receipt 

confirmation when material 

is returned to a DLA 

Distribution Center. 

Addressing comment 2, 

EBSO agreed to pursue this 

topic at a future Supply 

Process Review Committee 

(PRC) meeting. 

4. US Army Concur with comment Army requested DLA 

provide them with several 

internal DLA process and 

procedures on how DLA 

works PQDRs in their 

system. EBSO forwarded 

this information to the DLA 

PQDR POCs and informed 

the Army to work with DLA 

for further information. 

5. USMC Concur without comment As noted.

6. DAAS Concur without comment As noted.

7. USTRANSCOM No Response As noted.

8. ODASD Concur without comment As noted.
Enclosure 1, ADC 1356

Page 1

Enclosure, Update DLMS Volume 2, Chapter 13 Materiel Receipt as shown below.

Preceding text not shown.

C13.2.9.3.10.9. Product Quality Deficiency. An SCC Q 

entered in a PMR file shows that the receipt is related to a reported product quality deficiency. 

Report receipt of this materiel in SCC Q and do not cite a management code. Based on the 

results of the inspection or technical/engineering analysis, owners will direct the appropriate 

materiel disposition.

C13.2.9.3.10.9.1. When DLA directs the return of PQDR 

exhibits to a DLA distribution center, and the exhibits are a DLA managed item, the exhibits 

are receipted into DLA ownership using information included on the exterior of the package 

that includes a DLA document number, the PQDR report control number, the NSN, and a 

barcode. 

C13.2.9.3.10.9.12. Additionally, when the receipt is applicable 

to a Product Quality Deficiency Report (PQDR) exhibit, include the PQDR Report Control 

Number (RCN) and designate a copy of the receipt transaction for distribution to the Product 

Data Reporting and Evaluation Program-Automated Information System (PDREP-AIS). SCC Q 

is applicable to exhibits returned for evaluation and returned subsequent to testing.
Enclosure 2, ADC 1356

Page 1

Enclosure 2, DLA PQDR Exhibit Return Label Template (DLAR 4155.24/AR 702-7/AFI 21-

115/SECNAVINST 4855.5B/DCMA-INST-305 PQDR Program) (Reference 3.a.)